Posted on: 24th Sep, 2008 05:40 pm
i bought a house 2 years ago, the deed is in my name. my husband and i have since seperated and i moved into an apartment 4 months ago and he stayed in the home. he's not paying the mortgage and the house is going into forclosure at the end of the month. he has since rented an apartment and will be moving out by the end of the month. i am unable to pay the past due amount and want to return the property. i'm interested in doing a quit claim deed back to the mortgage company in lu of forclosure. there is no equity and according to a realtor that i spoke with, the selling of the property would not pay off the mortgage. would a quit claim deed be good for my situation? please advise. thank you
Hi greenbiller!
Welcome to the Forums!
I can completely understand your situation. Yes you definitely have the option of deed-in-lieu. With the help of deed in lieu foreclosure, you will be able to return the property to the lender. The lender will offer you a note written that your loan id paid. The lender will then try to sell the property in the market. If the market is down, then he will not get his due amount which will create a deficiency. Lenders generally forgive this deficient amount however the tax department takes it as an income and may charge you tax on that amount.
Feel free to ask if you have further queries.
Sussane.
Welcome to the Forums!
I can completely understand your situation. Yes you definitely have the option of deed-in-lieu. With the help of deed in lieu foreclosure, you will be able to return the property to the lender. The lender will offer you a note written that your loan id paid. The lender will then try to sell the property in the market. If the market is down, then he will not get his due amount which will create a deficiency. Lenders generally forgive this deficient amount however the tax department takes it as an income and may charge you tax on that amount.
Feel free to ask if you have further queries.
Sussane.
Hello greenbiller
Welcome to the forum. A quit claim may be a good option, you also may look at a walk away program. You are going to need assistance getting these services.
[Promotional text and e-mail address deleted as per forum rules. Thanks.]
Welcome to the forum. A quit claim may be a good option, you also may look at a walk away program. You are going to need assistance getting these services.
[Promotional text and e-mail address deleted as per forum rules. Thanks.]
If I HAVE MY LOAN MODIFIED WILL IT BE ASSUMABLE?
Welcome Henry,
You need to check your mortgage docs to know if the loan is assumable or not. Your can also contact your lender to check out whether or not your loan is assumable. He will be the right person to let you know.
You need to check your mortgage docs to know if the loan is assumable or not. Your can also contact your lender to check out whether or not your loan is assumable. He will be the right person to let you know.